Question 1

Which type of government agency provides educational programs to assist consumers with buying decisions?

Accepted Answer

A)  Federal
B)  Consumers Union
C)  Underwriters Laboratories
D)  Consumer Reports
E)  National Highway Traffic Safety AdministrationF) B) and D)
G) All of the above A

Question 2

The main purpose of the Edmund's Used Car Prices is to:

Accepted Answer

A)  monitor safety problems of existing vehicles.
B)  provide current used-car prices.
C)  reduce sales of stolen vehicles.
D)  list cars available for sale from government agencies.
E)  provide VIN numbers for vehicles.F) All of the above
G) A) and E)

Question 3

Margaret Wilson has a piece of paper that she can mail in to the manufacturer of the product that she just purchased.It allows her to get part of her purchase price back.What is she most likely using?

Accepted Answer

A)  Coupon
B)  Rebate
C)  Warranty
D)  Indenture
E)  Service contractF) B) and E)
G) A) and E)

Question 4

An example of a financial services cooperative is a:

Accepted Answer

A)  credit union.
B)  sports store.
C)  grocery store.
D)  pawnshop.
E)  payday loan company.F) A) and B)
G) B) and C)

Question 5

An example of an economic factor that influences buying decisions would be:

Accepted Answer

A)  family size.
B)  inflation.
C)  advertising.
D)  hobbies.
E)  lifestyle.F) C) and D)
G) A) and C)

Question 6

Howard Ramsell recently became aware of implied warranties that exist for consumer purchases.An implied warranty exists as a result of:

Accepted Answer

A)  a stated intent of the seller.
B)  actions by consumers.
C)  the intended use of a product.
D)  rulings of federal consumer agencies.
E)  a written statement from the manufacturer.F) A) and B)
G) A) and C)

Question 7

Most used cars bought from private owners have:

Accepted Answer

A)  no implied warranties.
B)  a 30-day return privilege.
C)  a limited warranty.
D)  no express warranty.
E)  a government-supported repair guarantee.F) A) and B)
G) B) and C)

Question 8

A class-action suit is a legal action taken by a few individuals on behalf of all the people who have suffered the same alleged injustice.

Accepted Answer

A) True 
 B)False

Question 9

The items produced for a specific retail chain of stores are commonly sold under a ________ brand.

Accepted Answer

A)  store
B)  government
C)  regional
D)  local
E)  nationalF) A) and C)
G) C) and E)

Question 10

Arbitration differs from mediation in that arbitration:

Accepted Answer

A)  involves government officials.
B)  requires the use of a lawyer.
C)  is only available in certain states.
D)  allows compromise through negotiation.
E)  is legally binding.F) A) and B)
G) B) and C) E

Question 11

Which type of purchasing strategy involves comparing unit prices?

Accepted Answer

A)  Timing purchases
B)  Price comparison
C)  Label information
D)  Brand comparison
E)  Store selectionF) A) and E)
G) C) and D)

Question 12

Distinguish between an implied warranty and an express warranty.

Accepted Answer

An express warranty is usually in written form and can be either a full warranty or a limited warranty.An implied warranty covers a product's intended use or other basic understandings that are not in writing.Two implied warranties are an implied warranty of title and an implied warranty of merchantability.

Question 13

The Sears Kenmore dishwasher is an example of a:

Accepted Answer

A)  national brand.
B)  store brand.
C)  generic brand.
D)  local brand.
E)  regional brand.F) C) and E)
G) A) and E)

Question 14

Federal law requires food labels to contain:

Accepted Answer

A)  advertising phrases
B)  the company website
C)  unit price information
D)  ingredients and nutrients
E)  None of theseF) A) and B)
G) D) and E)

Question 15

Which one of the following is the best example of a personal opportunity cost associated with a consumer purchase?

Accepted Answer

A)  Enjoyment derived from owning an item
B)  Taxes paid on purchases
C)  Money spent by stores on advertising
D)  Time and effort spent on comparison shopping
E)  Efforts by the government to prevent consumer fraudF) B) and C)
G) C) and E)

Question 16

Emily is trying to decide whether to lease or buy a car.Which one of the following is not a factor necessary in making the comparison?

Accepted Answer

A)  Down payment
B)  Monthly lease payments
C)  Gasoline costs
D)  Residual value
E)  Mileage overage chargesF) B) and E)
G) A) and E)

Question 17

Which of the following statements about a legal aid society is not true?

Accepted Answer

A)  It provides legal assistance to people who cannot afford their own attorney.
B)  It is part of a network of community law offices.
C)  It provides legal assistance at minimal cost or without charge.
D)  It is a branch of the American Bar Association.
E)  It is a publicly supported organization.F) A) and D)
G) All of the above

Question 18

Most consumer complaints are resolved by:

Accepted Answer

A)  legal action.
B)  assistance from a government agency.
C)  contacting a company's headquarters.
D)  returning to the original sales location.
E)  obtaining help from an action line.F) B) and E)
G) A) and E)

Question 19

What type of warranty covers only certain aspects of the product,such as parts,or requires the buyer to incur part of the costs for shipping or repairs?

Accepted Answer

A)  Limited warranty
B)  Full warranty
C)  Implied warranty
D)  Warranty of title
E)  Express warrantyF) A) and C)
G) A) and B)

Question 20

Advertising is a type of consumer information commonly provided by business organizations.

Accepted Answer

A) True 
 B)False

Exam 8: Consumer Purchasing Strategies and Legal Protection

Which type of government agency provides educational programs to assist consumers with buying decisions?

Correct Answer
verified
A

The main purpose of the Edmund's Used Car Prices is to:

Correct Answer
verified

Margaret Wilson has a piece of paper that she can mail in to the manufacturer of the product that she just purchased.It allows her to get part of her purchase price back.What is she most likely using?

Correct Answer
verified

An example of a financial services cooperative is a:

Correct Answer
verified

An example of an economic factor that influences buying decisions would be:

Correct Answer
verified

Howard Ramsell recently became aware of implied warranties that exist for consumer purchases.An implied warranty exists as a result of:

Correct Answer
verified

Most used cars bought from private owners have:

Correct Answer
verified

A class-action suit is a legal action taken by a few individuals on behalf of all the people who have suffered the same alleged injustice.

Correct Answer
verified

The items produced for a specific retail chain of stores are commonly sold under a ________ brand.

Correct Answer
verified

Arbitration differs from mediation in that arbitration:

Correct Answer
verified
E

Which type of purchasing strategy involves comparing unit prices?

Correct Answer
verified

Distinguish between an implied warranty and an express warranty.

The Sears Kenmore dishwasher is an example of a:

Correct Answer
verified

Federal law requires food labels to contain:

Correct Answer
verified

Which one of the following is the best example of a personal opportunity cost associated with a consumer purchase?

Correct Answer
verified

Emily is trying to decide whether to lease or buy a car.Which one of the following is not a factor necessary in making the comparison?

Correct Answer
verified

Which of the following statements about a legal aid society is not true?

Correct Answer
verified

Most consumer complaints are resolved by:

Correct Answer
verified

What type of warranty covers only certain aspects of the product,such as parts,or requires the buyer to incur part of the costs for shipping or repairs?

Correct Answer
verified

Advertising is a type of consumer information commonly provided by business organizations.

Correct Answer
verified

Exam 8: Consumer Purchasing Strategies and Legal Protection

Which type of government agency provides educational programs to assist consumers with buying decisions?

Correct AnswerverifiedA

The main purpose of the Edmund's Used Car Prices is to:

Correct AnswerverifiedShow Answer

Margaret Wilson has a piece of paper that she can mail in to the manufacturer of the product that she just purchased.It allows her to get part of her purchase price back.What is she most likely using?

Correct AnswerverifiedShow Answer

An example of a financial services cooperative is a:

Correct AnswerverifiedShow Answer

An example of an economic factor that influences buying decisions would be:

Correct AnswerverifiedShow Answer

Howard Ramsell recently became aware of implied warranties that exist for consumer purchases.An implied warranty exists as a result of:

Correct AnswerverifiedShow Answer

Most used cars bought from private owners have:

Correct AnswerverifiedShow Answer

A class-action suit is a legal action taken by a few individuals on behalf of all the people who have suffered the same alleged injustice.

Correct AnswerverifiedShow Answer

The items produced for a specific retail chain of stores are commonly sold under a ________ brand.

Correct AnswerverifiedShow Answer

Arbitration differs from mediation in that arbitration:

Correct AnswerverifiedE

Which type of purchasing strategy involves comparing unit prices?

Correct AnswerverifiedShow Answer

Distinguish between an implied warranty and an express warranty.

The Sears Kenmore dishwasher is an example of a:

Correct AnswerverifiedShow Answer

Federal law requires food labels to contain:

Correct AnswerverifiedShow Answer

Which one of the following is the best example of a personal opportunity cost associated with a consumer purchase?

Correct AnswerverifiedShow Answer

Emily is trying to decide whether to lease or buy a car.Which one of the following is not a factor necessary in making the comparison?

Correct AnswerverifiedShow Answer

Which of the following statements about a legal aid society is not true?

Correct AnswerverifiedShow Answer

Most consumer complaints are resolved by:

Correct AnswerverifiedShow Answer

What type of warranty covers only certain aspects of the product,such as parts,or requires the buyer to incur part of the costs for shipping or repairs?

Correct AnswerverifiedShow Answer

Advertising is a type of consumer information commonly provided by business organizations.

Correct AnswerverifiedShow Answer

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A

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E

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